Faroese municipalities owe 1.7 billion kroner to financial institutions

The Faroese municipalities currently owe local financial institutions a total of 1.7 billion Danish kroner.

Three municipalities account for a significant portion of this debt: Tórshavn and Klaksvik each owe 400 million kroner, while Runavík has a debt of 200 million kroner.

This information comes from the latest report by the Faroe Islands’ government.

Since May of last year, the municipalities have borrowed an additional 300 million kroner.

While public companies have borrowed significantly in recent times, their total debt amounts to only a third of what the municipalities owe.